Sabre Outlines Strategy to Innovate Next
Level of Travel Distribution and Retailing

Sean Menke, President and CEO of Sabre, told senior executives gathered at an industry
conference in Dallas this week that the continued growth of low cost
carriers (LCCs) and downward pressure on airline pricing are
driving factors of the new technology landscape.

Menke emphasized
that Sabre is committed to leading on the development of next
generation distribution and retailing solutions that leverage IATA’s New Distribution
Capability (NDC) in ways that will benefit airlines, travel
retailers and consumers.

Menke said that the development of
NDC standards was just the first step in a series of changes that
will impact the way airlines market their services and how travel
agencies retail those services to consumers. But there are a host
of other implications, including airline revenue management,
ticketing fulfilment and servicing and other back-office functions
that travel agencies provide in support of airlines – most
especially travel management companies that support business
travellers.

“Sabre has a history of bringing together the
interests of travel suppliers and travel retailers and finding
ways for technology to move the industry forward,” said
Menke.
“The conversations we have today with airlines and agencies are
very different from our discussions even a few years ago. The
forward-thinking people are focused on driving value creation for
airlines and agencies alike. That’s how we will make NDC work.
Over the coming months, we’ll be talking more about how we will
bring this to market, but we have no intention of giving up the
technology leadership role we have played historically.”

Menke observed that while there is a perception of
airline industry consolidation steering airline financial results,
“the real impact on airline economics has been the explosive
growth of low cost carriers, impressively moving beyond the
leisure travel market and successfully driving pricing and
competition across both the business and leisure travel segments,”
said Menke. “These factors – which we see at various levels in all
regions of the globe – require traditional carriers to
differentiate their offerings and find new ways to drive revenue
growth while still competing for the price-conscious traveller.”

Menke spoke at The Beat Live, an annual gathering of travel
industry executives who represent airlines, hotels and travel
management companies. He reiterated Sabre’s commitment to NDC
standards, saying that the company is already Level 1 compliant
with a roadmap to become Level 2 and Level 3 compliant in 2018.

“NDC started the public conversation about building out a new
level of technology standards that enable airlines to offer more customized products and services, indicative of the branded fares,
ancillary services and digital retailing trends that characterize
air travel today,” said Menke. “We are fully committed not only to
incorporating NDC standards, but giving them broader application
so that airlines, agencies and consumers will get the full benefit
of what NDC intends to accomplish.”